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Updated over 6 years ago,

User Stats

399
Posts
222
Votes
David de Luna
  • Rental Property Investor
  • NorCal
222
Votes |
399
Posts

Is this 4-Plex deal worth doing?

David de Luna
  • Rental Property Investor
  • NorCal
Posted

This is the first deal that I'm considering.  It is a 4-Plex - each unit approx 550-600 SF each; total of 2500 SF. The metrics seem to be in the range I've learned about, but it's my first deal and I'd sure appreciate far more experienced eyes to look at these numbers and tell me if you see something wrong. I hate to plunk down this much money not considering something I'm missing here. Much obliged to for taking a peek at these numbers. 

Sell Price 700,000
Down Payment 125,000
Loan: 30 yr Fixed @ 4.5% 575,000
Monthly Mort Pmt 2,863
 
ANNUAL Rental Income 63,600
ANNUAL Total Expenses 17,483
ANNUAL Debt Service 34,356
GRM 1.10%
NOI 46,117
CAP Rate 6.59%
DSCR 1.34
Cash on Cash ROI 8.92%
Monthly PreTax Cash Flow 980
Annual PreTax Cash Flow 11,761 

Please let me know if more info is needed. I didn't want to cram so much data, like the detail of expenses and such, but if you want to see them, I'm happy to post them.  I'm not completely certain I'm looking at all that needs to be analyzed so I welcome the schooling. THANK YOU!

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